Clara Consultants, a famous think tank in Florida, has provided probability estimates for the four potential economic states for the coming year. The probability of a boom economy is 10%, the probability of a stable growth economy is 15%, the probability of a stagnant economy is 50%, and the probability of a recession is 25%. Estimate the expected returns on Stock for the coming year. {:[" FORECASTED "],[" RETURNS FOR EACH "],[" ECONOMY "]:} INVESTMENT Boom Stable Growth Stagnant Recession Stock 25% 12% 4% -12% {:[" Corporate "],[" Bond "]:} 9% 7% 5% 3% Govt Bond 8% 6% 4% 2% 3.3% 5.3% 4.3% 6.3%

Clara Consultants, a famous think tank in Florida, has provided probability estimates for the four potential economic states for the coming year. The probability of a boom economy is 10%, the probability of a stable growth economy is 15%, the probability of a stagnant economy is 50%, and the probability of a recession is 25%. Estimate the expected returns on Stock for the coming year. 3.3% 5.3% 4.3% 6.3%